Is it possible to transfer ERC20 tokens without sending a transaction to the contract address?

I'm trying to reverse engineer etherscan so I can make my own explorer. While I was checking Augur token transfers I found a transaction where both the to and from address where different from the token's smart contract address. How is this possible?

Contracts can call other contracts while they are executed. You can see the calls made by this contract in the Parity VM Trace. In particular, here is the call to the token contract: